"Sources with first-hand experience of Microsoft's next generation console have told us that although the next Xbox will be absolutely committed to online functionality, games will still be made available to purchase in physical form. Next Xbox games will be manufactured on 50GB-capacity Blu-ray discs, Microsoft having conceded defeat to Sony following its ill-fated backing of the HD-DVD format. It is believed that games purchased on disc will ship with activation codes, and will have no value beyond the initial user." Crap like this should be illegal. If I can't buy second-hand games at my local favourite game store, Microsoft can shove this new Xbox where the sun don't shine. Which it obviously doesn't do in Redmond if they can come up with this kind of user-hostile bullshit. You can pretty much guarantee that they have made a silent agreement with Sony to implement similar anti-user feature on the next Playstation.

If MS wants to do this... so be it. Let the market figure it out. I'd hope people would rebel and jump to others who don't do this kind of thing. If you make it illegal you just keep the market from punishing these bad ideas.

At the same time... we need to have the DMCA and such killed so when someone figures out how to get around such "features" the government isn't breaking down your door on MS's behalf.